Federal Reserve Vice Chair for Supervision Michelle Bowman stated on Wednesday that a revised bank capital proposal related to Basel III is expected to be released before the end of the first quarter.

Bowman, speaking at an event hosted by the Exchequer Club in Washington, indicated that U.S. regulators plan to unveil the proposal later this year, after which it will be open for public comment. She emphasized that sufficient time will be provided for industry and public feedback on the plan.

Previous reports have suggested that regulators are developing a new bank capital proposal that would significantly ease the capital requirements for large Wall Street banks that were proposed during the Biden administration. The earlier version faced opposition from the banking industry and was not finalized.

Earlier this week, Bowman also noted that under the proposal, U.S. lenders are likely to face new mortgage lending requirements.